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Prior to the v2.2.0 Update, the Dragon's HUD Menu had both the Energy Bar and the Happiness Bar. With this, the player could see if said Dragon was about to be unhappy or not.

After the v2.2.0 Update, the only visible bar is the Energy Bar, as for Happiness, it only shows the icon. The only way to know if your dragon is in between 100% and 90% is by seeing the Happy Particles.

Icon

Duration

Effects

Video Demostration

Very Happy Stage

100% to 81%

The dragon's speed isn't modfied and they will help the player. When the Happiness Meter goes below 90%, any happiness particles will disappear.

The bar and the borders would be in gold.

Very Happy Dragon Effects - School of Dragons

Happy Stage

80% to 21%

A notable change of speed is seen. The dragon will be much slower comparing to a Very Happy Staged dragon and will have the same speed as the Viking. However, despite being slower, it will still help the player.

The bar was green and the borders would be in silver.

Happy Dragon Effects - School of Dragons-1482350087

Unhappy Stage

20% to 0%

A much bigger notable change is seen. The dragon will be around 2x more slower than the Happy Stage, even slower than a Viking. If the player has items to collect, the dragon won't help at all and will, instead, sit and be idle.

While the borders would just be red, the bar itself would start blink between red and black.

The Shockjaw's bioluminescence spikes emit an electrical reaction when happy

As for an unknown Update, when dragons reach the Adult Stage, some will emit some effects when the Happiness is between 100% and 90%, varying from smoke coming from the mouth (Shivertooth, Thunderpede, ect...) to body effects (Flightmare, Typhoomerang, ect...). While the Premium Starter Dragons have these effects, the Non-Premium Starter Dragons do not (not even their Titans) so, in recent updates, it is quite hard to tell if their happiness is or not in between 100% and 90%.

Petting your dragon quite simply means clicking the dragon's chest or head, which invokes the petting action, that increases your dragon's happiness. It is one of the fastest ways to cheer your dragon up. You will notice that it's working when your mouse "blinks".

Some dragons are very easy to pet (such as the Deadly Nadder, which is in its belly) however, they are dragons that it's very hard to pet (such as the Singetail that NEEDS to be in a certain position to pet its head or else, the petting spot will always move away).

The small light contraption: By clicking on the small light contraption, you make a small beam of light that the dragon will chase around the screen.

The toy ball: By clicking on the ball and then clicking on the screen, you throw the ball. Your dragon will persue the ball and then return it to you.

Remember, using the ball or light contraption will also lower your dragon's energy slightly 1 by 1, so if you want 100% energy and happiness, play with your dragon before feeding it a fish or pet it instead.

You can also use dragon nip to entertain your dragon, which is obtained by growing it on your farm. By clicking on the Dragon Nip and handle it to your dragon, the dragon will make the Eating Animation bit and, it will add a few (5) Happiness Points.

Note that not every dragon can be entertained with Dragon Nip, the Eruptodon is immune to Dragon Nip.